In honor of my Caught Dead in Wyoming mystery series, my assistant Gabriella Samuels is writing for my newsletter and blog a series of consumer tips inspired by TV reporter Elizabeth Margaret Danniher.
This topic was suggested and inspired by a fellow ReadHead, who accidentally fell for one of the many fake ads created by scammers on places like Instagram and Facebook.
Social media use has never been more widespread. In 2024, YouTube, Facebook, and Instagram were the most popular apps for adults, as reported by the Pew Research Center. The downside of using these apps is the accompanying ads and the fake ads that are popping up just as often. The ease and low cost of creating and running fake ads make them a favorite tool for scammers. You do not need an actual product to advertise.
Fraudsters often impersonate legitimate businesses, sometimes even big names such as Target or J.C. Penney. Some scammers use AI-generated photos and videos, featuring fake testimonials or even celebrity endorsements. However, clicking the advertisement redirects you to a fraudulent imitation website that will steal your financial information or personal data.
To keep your money and data safe on social media, here are some tips to remember when looking out for fraudulent ads:
- Look out for ads that have very low and unlikely prices/sales. Luxury goods, such as Gucci handbags, are never sold for $20.
- Never click on the ad directly. To confirm sales or make a purchase, go to the company’s official website. Make sure the website address starts with “https.” If not, do not use that website.
- Avoid direct messages to buy a product. Many scammers use AI bots for direct messaging, trying to trick you into giving your credit card information or clicking on phishing links.
- Avoid paying with third party app such as Zelle or PayPal and avoid using a debit card online. According to NerdWallet, most banks have better fraud protection for credit cards than debit. Check with your bank to confirm liability limits. If you do not want to use a debit or credit card, you can use a preloaded gift card for your payments.
Act quickly if you’re a victim of a scam—notify your bank and report the fraud. Report both the ad and the seller to the social media site you found them on. Report all scams to the Federal Trade Commission.
And remember, if it is too good to be true, it probably is. Stay vigilant.
Happy reading!